The world's largest oil company Aramco predicts an increase in demand for black gold this year. This expectation is driven by the opening of the borders of China.
Chief executive officer of Saudi Aramco Amin Nasser said that the company is quite optimistic about the recovery of market demand. Thus, according to Aramco, the first favorable signs have already been seen in China. The company expects to see bigger economic growth from the Asian country in the next couple of months. According to Nasser, demand for jet fuel is currently about one million barrels a day below pre-pandemic levels. In its turn, it is about half what it was a year ago.
Nasser confirmed that companies need to invest more in oil production. He stated that unused capacity is two million barrels a day, barely more than the overall demand of 100 million barrels. The CEO said the world would need 4 to 6 million barrels a day of new production just to offset the natural decline in existing fields.